Workers’ Compensation Challenges in California’s Gig Economy

 Posted on October 15, 2024 in Workers' Compensation

In 2024, more and more people are earning their living in ways that people could never have imagined a few decades ago. As platforms like Uber, DoorDash, TaskRabbit, and more have developed, it is more convenient for customers to get the goods and services they want, and people have more access to paying jobs to provide the requested services. With such an extensive gig economy, questions arise about things like workers’ compensation for people in short-term jobs. If you have questions about your workers’ compensation eligibility, contact a knowledgeable Morgan Hill, CA workers’ compensation lawyer.

How is Workers’ Compensation Eligibility Determined?

California’s workers’ compensation system is meant to compensate injured workers regardless of who is to blame for the injury. By nature of their work, gig workers tend to face several types of risks, including:

• Unsafe road conditions for drivers, unsecured loads for delivery workers, or other types of damage to their equipment due to increased exposure to unknown people in unknown places.
• Mental health issues which can be intensified by isolation, fluctuating income, and lack of job security.

While it is an established benefit in many industries, gig workers have traditionally been excluded. However, a California law from 2019 changed how they were classified by arguing that if people perform a paid service on behalf of someone who hired them to do it, they should be considered employees regarding wages and benefits. Even though they used to be treated as independent contractors, gig workers are now entitled to workers’ compensation benefits unless the following three criteria are met:

• The company does not control the worker’s tasks or schedules in a way that could suggest an employee-employer relationship.
• The work that the worker does is not central to the business.
• The worker is often occupied in an independently established field doing work similar in nature to the work he or she does for the hiring entity.

That means that many gig workers can legally be considered employees who are entitled to workers’ compensation. However, the law only applies to workers inside California. Even if the company is based in California, a gig worker will not be covered if he or she works somewhere outside of the state.

Schedule a Free Consultation with a Santa Clara County, CA Workers’ Compensation Lawyer

If you are a gig worker injured doing your work, an experienced Gilroy, CA workers’ compensation attorney can help you understand whether you are eligible for employee benefits and coverage. At Cramer + Martinez, we are passionate about helping all workers, regardless of their jobs, get compensation for workplace injuries. Call us at 408-848-1113 to schedule a free consultation to hear more about how we can assist you.